Water Utility restored to investment grade rating

September 28, 2017

Today, Mayor Steve Collier announced Standard and Poor’s Global Ratings has upgraded the City of Lawrence’s Water utility bond rating two notches from its current junk status of BB+ to investment grade BBB, with a positive outlook.

Collier said, “This rating increase reflects a confidence in the City’s financial management and policies, as well as an improved budget performance.”

Controller Jason Fenwick said, “The improved rating means the water utility will now be able to refinance its current debt, providing substantial savings to the utility. It will also lower the borrowing cost to the utility on any future financings. ”

S&P’s evaluation said, "We believe that within the two-year outlook period, the water utility's financial operations will likely improve significantly, following various measures taken by management that are indicative of a higher rating.”

The full analysis for the rating provided by Standard and Poor’s is included herein.